Crypto analyst Rekt Capital warns that Ethereum (ETH) could face a value collapse if it fails to hold a crucial level.
Key Support Level
According to Rekt Capital, ETH needs to maintain support around $3,342. If it fails to do so, it could drop further to $2,700.
Historical Precedence
The analyst points to historical data that shows ETH has previously struggled to break through the $3,956 resistance level. This has led to declines in the past.
Long-Term Outlook
Despite the potential for a short-term drop, Rekt Capital remains bullish on ETH in the long term. He believes that if ETH can reclaim the $3,342 support level, it could rally to around $4,000.
Current Market Conditions
At the time of writing, ETH is trading at $3,340, down over 4% in the last 24 hours.
